Melbourne’s 29-Storey Quincy Hotel Tipped to Top $120m

A 29-storey high-end hotel in inner Melbourne has come to market with expectations it will transact more than $120 million. The Quincy Hotel is a four-star, 241-key property was designed by Elenberg Fraser and opened in 2021 at 509 Flinders Lane. It was initially listed for sale in 2023 by owner InterGlobe Enterprises, a company owned by Indian billionaire Rahul Bhatia, who co-founded InterGlobe Aviation Limited, the parent company of India’s largest airline, IndiGo. The Quincy Hotel was InterGlobe’s debut in the Australian market under the Far East Hospitality brand. The property includes a rooftop sky bar, pool, gym, and multiple food and beverage venues. McVay Real Estate has been appointed to manage the sale process and expects offers around $120 million. The hotel is offered as a vacant possession, widening the potential buyer pool, McVay Real Estate managing director Sam McVay said . “This means it won’t just appeal to hotel investors that want exposure to the really strong Australian hotel market,” McVay told The Urban Developer. ▲ The Quincy Hotel on Flinders Lane is expected to sell for north of $100 million. “It expands the pool out to those who might be affiliated with other brands and there’s a lot of demand from other operators out there, because everyone wants to grow but it’s near impossible to build a new hotel at the moment. “And a modern hotel like this in such a great CBD location with vacant possession is really rare.” McVay said there rising institutional interest in the co-living sector could be attracted to the asset. “There will be co-living groups that look at this asset to convert it from a hotel into a co-living asset,” he said. There have been just 5300 rooms delivered in Melbourne since 2021, including the $90-million, 195-room Mercure Melbourne La Trobe Street, developed by Spacious Group. That 18-storey hotel opened this month, adding to the limited number of new hotel projects in Melbourne, which have already been absorbed by the city, McVay said. “The outlook for any future supply is minimal. Melbourne has an enormous workhorse of a CBD and the events calendar in Melbourne is the best in the southern hemisphere, so that just creates more demand for hotel rooms.” The offering comes after strong momentum in Melbourne’s hospitality market in 2025, McVay said. Transaction volumes reached nearly $600 million—the highest annual total since 2016. ▲ The hotel includes multiple restaurants and bars including the Q Rooftop. McVay Real Estate recently sold ModernHaus SoHo New York, Garden State Hotel and Hotel Indigo Auckland. It is undertaking a sales process for 25hours Hotel Sydney, and is also currently selling one of Sydney CBD’s largest parking facilities, the Quay West Car Park at 109-111 Harrington Street. Hilton signs on for Gold Coast landmark Elsewhere in hotel news, global hospitality giant Hilton has inked a management deal for the former Palazzo Versace resort on the Gold Coast, and is planning a multimillion-dollar transformation. The landmark property is to be repositioned under Hilton’s ultra-premium LXR Hotels &amp; Resorts brand as part of a significant expansion of its luxury footprint in Australia, the first as the brand in Australia. ▲ The Palazzo Versace now operates as the Imperial Hotel Gold Coast. The ultra-premium end of the hotel market has been gaining traction in Australia, and major moves have been undertaken to reposition existing assets, given the prohibitive costs of new hotel builds. The Gold Coast hotel has been operating as The Imperial Hotel since its Versace branding agreement ended in 2023. Now, the 200-room hotel on the Southport Spit overlooking the Gold Coast Broadwater, on one of the Glitter Strip’s most prominent waterfront positions, will close temporarily to allow for a comprehensive refurbishment.

Melbourne’s 29-Storey Quincy Hotel Tipped to Top $120m

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